Montreal, Canada — BioAmber’s sales of bio-succinic acid rose 64% to $4.1 m, in the second quarter of 2017, compared with the 2016 quarter, but costs also rose.
The company said it gained nine new customers, which began buying bio-succinic acid in the quarter. The new additions bring the total of new customers for the first half to 16, the firm said.
The company said that revenues were driven by growth in volume which was slightly offset by a decrease in average selling price. The company recorded an operating loss of $ 7.8 m for the quarter compared to a loss of $7.3 m min the same period in 2016.
Although the company saw increased sales, the cost of goods sold increased dramatically from $ 3.5 m in the second quarter of 2016 to $ 5.7 m in the second quarter of 2017.
Mike Hartmann, president of BioAmber and head of global sales said ‘we are pleased to report our second quarter 2017 results were the largest quarterly revenue ever. We have experienced the greatest acceleration new customers and new applications since our Sarnia facility was commissioned.’
BioAmber also confirmed that it will buy Mitsui’s minority equity position in the Sarnia manufacturing joint venture giving it 100% of the plant.
Mitsui will continue to distribute bio-succinic acid in Asia and other markets.
‘This transaction is an opportunity for BioAmber shareholders,’ said Fabrice Orecchoni, president and chief operating officer. ‘Now the Sarnia plant is ramping up; full ownership enables us to retain 100% of the projected profits and explore new opportunities with potential partners while continuing to benefit from Mitsui’s marketing and establishing capabilities.’